The struggling Palo Community School district will stay open, but will see changes for the 2013-2014 school year.

ISD Superintendent Robert Kjolhede said financial problems began roughly six years ago when the school's budget finished with a deficit. He said the ISD came up with a plan to stabilize the budget, which eliminated a superintendent and principal position, made the school a K-5 instead of a K-8 school and more. Soon after, the school changed to a K-6 school, Kjolhede added.

Now, Palo Community School supports roughly 75 students and four teachers. Funding from the state equals the average student count of the last three years, which totaled between $350,000 to $400,000. The end fund balance for the current school year is estimated to be $53,500.

Kjolhede said because of the fund balance, a decision had to be made whether to close the school, or, if it were to be kept open, how to deal with necessary changes.

He said staff numbers had to decrease, with two teachers being ideal for a K-5 school as the teachers would each teach three grades. If three staff members were kept, $49,000 of the $53,500 would be spent.

The discussion about the school's future, instructional state and financial state took place during a public forum earlier this month with Kjolhede and ISD State and Federal Programs and Science Consultant Julie Milewski. The goal was to alert parents of the situation, answer questions and discuss some of the choices the board had to face.

Milewski spoke about student achievement during the forum, which she said has been on the decline due to the lack of school funding and resources. She said much work is to be done if an increase is to be seen, along with a three- to five-year allowance of time.

Kjolhede said the decline is not the fault of the students, staff or the community, but issues stem from the different struggles in teaching today, student decline, less revenue coming into the district and the pressure to create "perfect scores" on tests.

Kjolhede said at the board of education meeting one week after the forum, board president Heather Smith made a motion to keep the school open for the 2013-2014 school year.

"I just felt like it was the right time," said Smith. "We never want to give up on the school."

She said members of the board have a long history with the community, school and its staff and do not take the idea of closing the school lightly.

"I can't imagine our little town without that school," Smith added.

She said she is thankful for the community members who attended the forum and the board meeting and voiced their opinions on the task at hand. She added she hopes they will continue to do the same at future meetings and become more involved with the students' education.

Page 2 of 2 - She said the financial situation in the district has been tough for years, but the board and school staff will do their best to keep the school up and running for students as long as possible.

A unanimous vote from board members solidified the future for Palo Community School for another year, but Smith added the decision will have to be made annually.

Kjolhede said per the board's decision, staff has been reduced to three, there will be three multi-age classrooms and the building will change to a K-5 school.

"We love the school, kids, staff and community. Our job is to make it work," said Kjolhede.

Milewski said she is moving forward with the school's improvement plan and development plan, and is also collaborating with other Ionia County rural schools to help benefit everyone involved.

"We're moving forward, because when we put those kids at the center, we know we're doing a good job. The school has the potential to do new and remarkable things, but we just need to think outside the box," said Milewski.

To combat the struggles facing the district, she said the ISD is learning the "best practices" to increase student achievement and encouraging parental involvement.

She added she believes the Palo staff have a positive attitude and will make the effort to save the school worth it because they feel the students are worth it.